Sensex ends higher by 293 points
Stock markets rose for the fifth day in a row as the Sensex advanced further by over 290 pts on strong buying support sparked by bankers' assurance to FM on considering cutting lending rates.business Updated: Nov 04, 2008 17:30 IST
Stock markets rose for the fifth day in a row on Tuesday as the benchmark Sensex advanced further by over 290 points on strong buying support sparked by bankers' assurance to Finance Minster P Chidambaram on considering cutting lending rates.
Markets opened weaker by 221 points after a four-day gaining spree-- which saw the Sensex rising over 1800 points-- but the bellwether index not only recovered the losses but gained further to settle the day higher.
The 30-share Sensex finally ended at 10,631.12, up by 293.44 points, or 2.8 per cent. Its total gains in five straight sessions are now nearly 2100 points, a stark contrast to relentless decline seen last month during which it tested lowest level in three years.
The wide-based National Stock Exchange index Nifty also gained 98.25 points, or 3.23 per cent at 3142.10.
Brokers said markets which were down were revived by reports of Finance Minister P Chidambaram's comments that banks have assured him that they would consider the demand for lowering lending rates.
Realty and banking sectors surged on expectations of boom on likely cut in interest rate and assurance of housing and SME sectors of adequate liquidity.
Meanwhile, country's largest public sector lender State Bank of India today said it will consider cutting down the benchmark lending rate by up to 50 basis points tomorrow.
Punjab National Bank and Union Bank have already lowered their benchmark prime lending rate following a series of monetary measures taken by the Reserve Bank.